The 3 Documents Needed To Do A Lease Option Are

Option Agreement Residential Lease Agreement Purchase Agreement
On the following pages you will find all 3 documents required to do a Residential Lease Option or Real Estate Lease Option.
The author is not engaged in rendering legal, financial or other professional advice. Laws and practices often vary from state to state and if legal or other expert assistance is required, the services of a professional and competent real estate attorney should be sought. The author specifically disclaims any liability that is incurred from the use or application of the contents of these documents.

For Tips of How To Sell Your Own House Fast For Sale By Owner in Any Real Estate Market Go To:

Date: ______________________ This option to Purchase Property is entered into between____________________________________________ (“Seller”), located at _______________________________and______________________________(“Buyer”), located at _____________________________ in consideration of and subject to the following terms and conditions. 1. GRANT OF OPTION Seller grants and conveys to Buyer the exclusive and irrevocable option to purchase (the “Option”) the following real estate property (the “Property”) located in _____________________________,(City) _________________,(State), and is legally described as: _________________________________________

2. OPTION MONEY Buyer pays Seller the sum of __________________________,Dollars ($____________________) (the “Option Money”), the receipt of which Seller acknowledges as consideration for the Option. 3. TERM, EXERCISE/NOTICE A. TERM. Buyer’s right to exercise this Option shall commence on the above date and shall continue until _____________________________and including the _____________________________ day of __________________________________ (the “Option Period”). B. EXERCISE/NOTICE. This option shall be exercised by Buyer’s written notice to Seller of Buyer’s intention to purchase. The notice shall be deemed received when personally delivered, transmitted by facsimile, sent by express courier or sent by United States mail, postage prepaid, certified and return receipt requested, addressed to Seller or the designated agent of Seller, as the case may be, at the address set forth in this Option of any party prior to the expiration of the Option Period.

Initials Buyers _______________ Page 1 of 2

Initials Sellers __________________

4. CLOSING AND DISPOSITION OF OPTION MONEY & RENT CREDITS If Buyer exercises this Option as described above, the transaction shall be closed in accordance with the terms and conditions of the attached Purchase Agreement. A. The Option Money shall be credited to the purchase price. B. Buyer Receives a $100 Rent Credit. applied and deduced from the purchase price for every month that Seller receives the monthly rent on time. There is no Rent Credit if the Rent Payment is late. C. If the Option is not exercised, then Buyer is forfeiting any and all Rent Credits they have built up. D. If the Option is not exercised, then Seller shall retain the Option Money as consideration for the granting of this Option. 5. TERMS BINDING All terms and conditions are included and no verbal agreements shall be binding.

6. ACKNOWLEDGEMENTS This Option may be executed simultaneously or in two or more counterparts, each of which shall be deemed an original, but all of which together shall constitute one and the same instrument. The parties agree that this document may be transmitted between them by facsimile machine. The parties intend that faxed signatures constitute original signatures and are binding on the parties. The original document shall be promptly executed and/or delivered, if requested. ___________________________________________ _______________________________________ BUYER’S SIGNATURE DATE BUYER’S SIGNATURE DATE ___________________________________________ PRINTED ___________________________________________

_______________________________________ PRINTED _______________________________________

______________________________________________ SELLER’S SIGNATURE DATE

____________________________________________ SELLER’S SIGNATURE DATE

__________________________________________ PRINTED ___________________________________________ SELLER’S SOCIAL SECURITY #/FEDERAL ID #

____________________________________________ PRINTED ____________________________________________ SELLER’S SOCIAL SECURITY #/FEDERAL ID #

Page 2 of 2

Date 1. BUYER: Name and/or assigns (“Buyer”) agrees to buy the following property from ______________________________, the Owner (“Seller”) for the consideration and subject to the following terms, provisions, and conditions: _________________________. 2. PROPERTY: The property (“Property”) is known as ___________________________________, and legally described as: _________________________________________________together with any existing improvements and fixtures attached, such as, but not limited to electrical and/or gas fixtures, heating and central air-conditioning equipment and all attachments thereto, built-in kitchen equipment, sump pump, water softener, gas grills, central vacuum equipment, window shades/blinds, curtain rods, drapery poles and fixtures, ceiling fans and light fixtures, towel racks and bars, storm doors, windows, awnings, TV antennas, satellite dishes and controls, storage barns, all landscaping, mailbox, garage door opener with control(s) AND THE FOLLOWING: _____________________________________________________________________ _____________________________________________________________________ All items sold shall be fully paid for by Seller at time of closing the transaction. 3. PRICE: Buyer will pay the total purchase price of $ ________ for the Property. 4. EARNEST MONEY: Buyer submits $___________, as earnest money which shall be applied to purchase price. Earnest money shall be returned promptly in the event this offer is not accepted. If this offer is accepted and Buyer fails or refuses to close the transaction, without legal cause, the earnest money shall be forfeited by Buyer to Seller as liquidated damages. 5. METHOD OF PAYMENT: (Pick One __ A, __ B, __ C) A. CASH: The entire purchase price shall be paid in cash and no financing is required. B. NEW MORTGAGE: Completion of this transaction shall be contingent upon the Buyer or the Buyer's assigns, ability to obtain a __ Conventional __ Insured Conventional __ FHA __ VA __ Other _______ first mortgage loan for ____ % of purchase price, payable in not less than ___ years, with an original rate of interest not to exceed ____ % per annum and not to exceed ____ points. Buyer shall pay all cost of obtaining financing, except Notwithstanding any other provisions of this Agreement, any inspections and charges which are required to be made and charged to Buyer or Seller by the lender, FHA, VA, mortgage insurer, or closing agent, shall be made and charged in accordance with their prevailing rules or regulations and shall supersede any provisions of this Agreement. C. OTHER METHOD OF PAYMENT: 6. TIME FOR OBTAINING FINANCING: Buyer or Buyer's assigns agrees to make written application for any financing necessary to complete this transaction or for approval to assume the unpaid balance of the existing mortgage within ____days after the acceptance of this Agreement and to make a diligent effort to meet the lender’s requirements and to obtain financing in cooperation with the Broker and Seller. No more than ____ days after acceptance of the Agreement shall be allowed for obtaining favorable written commitment(s) or mortgage assumption approval. If a commitment or approval is not obtained within the time specified above, this Agreement shall terminate unless an extension of time for this purpose is mutually agreed to in writing.

7. CLOSING: The closing of the sale (the “Closing Date”) shall be on or before (see Option Agreement) or this Agreement shall terminate unless an extension of time is mutually agreed to in writing. If the method of payment for this transaction is cash, assumption or conditional sales contract, the closing fee shall be paid by ___ Buyer ___ Seller ___ shared equally. 8. POSSESSION: A. The possession of the Property shall be delivered to Buyer _X_ at closing ___ within ____days after closing. If Seller does not deliver possession by the date required in the first sentence of this paragraph, Seller shall pay Buyer $75 per day as liquidated damages until possession is delivered to Buyer; and Buyer shall have all other legal and equitable remedies available against the Seller. B. Maintenance of Property: Seller shall maintain the Property in its present condition until its possession is delivered to Buyer, subject to repairs in response to any inspection. Buyer may inspect the Property prior to closing to determine whether Seller has complied with this paragraph. C. Casualty Loss: Risk of loss by damage or destruction to the Property prior to the closing shall be borne by Seller. In the event any damage or destruction is not fully repaired prior to closing. Buyer, at Buyer’s option, may either (a) terminate this Agreement or (b) elect to close the transaction, in which event Seller’s right to all insurance proceeds resulting from such damage or destruction shall be assigned in writing by Seller to Buyer. D. Utilities/Municipal Services: Seller shall pay for all municipal services and public utility charges through the day of possession. 9. SURVEY: Buyer shall receive a (Check ONE) _X_ SURVEYOR LOCATION REPORT, which is a survey where corner markers are not set, ___ BOUNDARY SURVEY, which is a survey where corner markers of the Property are set prior to closing; __ WAIVED, no survey required, at (Check ONE) _X_ BUYER’S expense; ___ SELLER’S expense. The survey shall (1) be received prior to closing and certified as of a current date; (2) be reasonably satisfactory to Buyer; (3) show the location of all improvements and easements; and (4) show the flood zone designation of the Property. 10.FLOOD AREA/OTHER: Buyer ___ may _X__ may not terminate this Agreement if the Property requires flood insurance or Buyer ___ may _X_ may not terminate this Agreement if the Property is subject to building or use limitations by reason of the location. 11. INSPECTIONS: BUYER RESERVES THE RIGHT TO HAVE THE PROPERTY INSPECTED (Including Lead-Based Paint) independent of and in addition to any inspections required by FHA, VA, or Buyer’s lender(s). All inspections are to be at Buyer’s expense (unless noted otherwise or required by lender) by qualified inspectors or contractors selected by Buyer within the following time periods. 12. INSPECTION/RESPONSE PERIOD: Buyer shall order all INDEPENDENT INSPECTIONS immediately after acceptance of the Purchase Agreement. Buyer shall have ____ calendar days beginning the day following the date of acceptance of the Purchase Agreement to respond to the inspection report(s) in writing to Seller (see “Buyer’s Response”) except: (check appropriate paragraph(s): __ Buyer shall have ____ calendar days to receive and respond in writing to the written lead based paint inspection and/or risk assessment report. ___ Buyer shall have ____ calendar days to receive and respond in writing to the written Radon Report.

Inspections may include but are not limited to the condition of the following systems and components: heating, cooling, electrical, plumbing, roof, walls, ceilings, floors, foundation, basement, crawl space, well/septic, water, wood-eating insects and organisms, lead-based paint (note: intact lead-based paint that is in good condition is not necessarily a hazard), radon tested at lowest livable area either currently finished or unfinished) and/or the following: Property to be purchased in “As Is” condition If the Buyer does not comply with Inspection/Response Period or make a written objection to any problem revealed in the report within the Inspection/Response Period, The Property shall be deemed to be acceptable. If the Buyer, in the reasonable discretion, believes that the Inspection Report reveals a MAJOR DEFECT with the Property and the Seller is unable or unwilling to remedy the defect to the Buyer’s reasonable satisfaction before closing (or at a time otherwise agreed to by the parties), then this Agreement may be terminated by the Buyer or such defect shall be waived by the Buyer and the transaction shall proceed toward closing. BUYER AGREES THAT ANY PROPERTY DEFECT PREVIOUSLY DISCLOSED BY SELLER OR ROUTINE MAINTENANCE AND MINOR REPAIR ITEMS MENTIONED IN ANY REPORT TOTALLING NO MORE THAN $ N/A TO REMEDY, SHALL NOT BE A BASIS FOR TERMINATION OF THIS AGREEMENT. 13. TITLE APPROVAL: Prior to closing, Buyer shall be furnished _X_ a commitment for title insurance in the amount of purchase price or ___ an abstract of title continued to date showing marketable title to the Property to pay mortgage policy. Any encumbrances or defects in title must be removed and Seller must convey title free and clear of any encumbrances and title defects, with the exception of any mortgage assumed by Buyer and any restrictions and easements of record which will not materially interfere with Buyers intended use of the Property. Seller shall order the commitment ___ immediately _X_ after mortgage approval. Seller agrees to pay the cost of obtaining all other documents necessary to perfect title (including the cost of the deed and vendors affidavit), so that marketable title can be conveyed. 14. TAXES: All taxes assessed for any prior calendar year and remaining unpaid shall be paid by Seller, and all taxes assessed for the current calendar year shall be prorated between Seller and Buyer on a calendar-year basis as of the day immediately prior to the Closing Date. If the tax rate and/or assessment for taxes assessed in the current year have not been determined at the closing of the transaction, the rate and/or assessment shall be assumed to be the same as the prior year for the purpose of such proration and credit for due but unpaid taxes and this shall be a final settlement. If at the time of closing the tax bill for the Property for the succeeding year has not been issued, taxes payable by either party shall be computed based on the most recent tax rate and/or assessment available to the closing agent. WARNING: The succeeding year tax bill for recently constructed homes or following reassessment periods may greatly exceed the last tax bill available to the closing agent. 15.PRORATIONS AND SPECIAL ASSESSMENTS: Insurance, if assigned to Buyer, interest on any debt assumed or taken subject to, any rents, all other income and ordinary operating expenses of the Property, including but not limited to, public utility charges, shall be prorated as of the day prior to the Closing Date. Seller shall pay any special assessments applicable to the Property for municipal improvements previously made to benefit the Property. Seller warrants that Seller has no knowledge of any planned improvements which may result in assessments and that no governmental or private agency has served notice requiring repairs, alterations or corrections of any existing conditions. Public or municipal improvements which are not completed as of the date

above but which will result in a lien or charge shall be paid by Buyer. Buyer will assume and pay all special assessments for municipal improvements completed after the date of this Agreement. 16. TIME: Time is of the essence. Time periods specified in this Agreement and any subsequent Addenda to the Purchase Agreement are calendar days and shall expire at midnight of the date stated unless the parties agree in writing to a different date and/or time. 17.HOMEOWNERS ASSOCIATION/CONDOMINIUM ASSOCIATION: Documents for a mandatory membership association shall be delivered by the Seller to Buyer within _N/A_ days after acceptance of this Agreement. If the Buyer does not make a written response to the documents within _N/A_ days after receipt, the documents shall be deemed acceptable. In the event the Buyer does not accept the provisions in the documents and such provisions cannot be waived, this Agreement may be terminated by the Buyer and the earnest money deposit shall be refunded to Buyer promptly. Any approval of sale required by the Association shall be obtained by the Seller, in writing, within _N/A_ days after Buyer’s approval of the documents. 18. ATTORNEY’S FEES: Any party to this Agreement who is the prevailing party in any legal or equitable proceeding against any other party brought under or with relation to the Agreement or transaction shall be additionally entitled to recover court costs and reasonable attorney'’ fees from the non-prevailing party. 19. MISCELLANEOUS: A. Unless otherwise provided, any prorations for rent, taxes, insurance, damage deposits, association dues/assessments, or any other items shall be computed through the date of closing. B. Conveyance of this Property shall be by general Warranty Deed, subject to taxes, easements, restrictive covenants and encumbrances of record, unless otherwise agreed. C. Seller represents and warrants that Seller is not a “foreign person” (individual entity) and, therefore, not subject to the Foreign Investment in Real Property Tax Act. D. Any notice required or permitted to be delivered shall be deemed received when personally delivered, transmitted by facsimile or sent by express courier or United States mail, postage prepaid, certified and return receipt requested, addressed to Seller or Buyer or the designated agent of either party at the address set forth below the signature of the party. E. In case any provision contained in this Agreement is held invalid, illegal, or unenforceable in any respect, the invalidity, illegality, or unenforceability shall not affect any other provision of this Agreement. F. This Agreement constitutes the sole and only agreement of the parties and supersedes any prior understandings or written or oral agreements between the parties’ respecting the transaction and cannot be changed except by their written consent. F. All rights, duties and obligations of the parties shall survive the passing of title to, or an interest in, the Property. G. Buyer discloses to Seller that Buyer is licensed and holds Real Estate License #___N/A___. 20. FURTHER CONDITIONS: This Purchase Agreement is attached to an Option Agreement dated ______________. $_________________ has been paid to Your Name Here as assignment fee for this option. These monies apply to buyers purchase price of $_______________________ as down payment. This Purchase Agreement is also attached to a Lease Agreement dated ________________. Default on any of these agreements constitutes default of all. The Earnest Money of $ __________ is also applied to the Purchase Price.

21. EXPIRATION OF OFFER: Unless accepted by Seller and delivered by Buyer by 12am on the ____ day of ___________________, 2007, this Purchase Agreement shall be null and void and all parties shall be relieved of any and all liability or obligations. 22.CONSULT YOUR ADVISORS: Buyer and Seller acknowledge they have been advised that, prior to signing this document, they may seek the advice of an attorney for the legal or tax consequences of this document and the transaction to which it relates. In any real estate transaction, it is recommended that you consult with a professional, such as a civil engineer, environmental engineer, or other person, with experience in evaluating the condition of the Property. This Agreement may be executed simultaneously or in two or more counterparts, each of which shall be deemed an original, but all of which together shall constitute one and the same instrument. The parties agree that this Agreement may be transmitted between them by facsimile machine. The parties intend that faxed signatures constitute original signatures and are binding on the parties. The original document shall be promptly delivered, if requested. ____________________________________ BUYER’S SIGNATURE DATE ________________________________ PRINTED ______________________________ MAILING ADDRESS ZIP ______________________________ (Area Code) TELEPHONE NUMBER ______________________________ BUYER’S SIGNATURE DATE ______________________________ PRINTED ______________________________ MAILING ADDRESS ZIP __________________________ (Area Code) TELEPHONE NUMBER

ACCEPTED BY SELLER As the Seller(s) of the property described herein, the above terms and conditions are accepted this _____ day of __________________ at __________ ___ A.M. ___ P.M. ______________________________ SELLER’S SIGNATURE DATE ______________________________ PRINTED ___________________________ MAILING ADDRESS ZIP _____________________________ (Area Code) TELEPHONE NUMBER ________________________________ SELLER’S SIGNATURE DATE _____________________________ PRINTED __________________________________ MAILING ADDRESS ZIP _____________________________ (Area Code) TELEPHONE NUMBER

___________________________, (Owner), and _________________________________________ (“Resident”), hereby agree to the following Residential Lease Agreement. 1. LEASE OF PREMISES. ____________________________ hereby leases the residential dwelling located at _______________________________., subject to all easements, privileges and appurtenances thereto for a term of _________ months, commencing on ________________________________, unless sooner terminated as provided by the terms of this Lease Agreement. Tenant understands he may move if he gives a 30 day written notice and all other terms of the lease are fulfilled. 2. PAYMENT: The Resident, without demand or notice, shall pay a monthly rental payable on the first (1st) day of each calendar month, in advance, to this address _____________________________________, and made payable to ________________________, (Owner). THE FOLLOWING IS THE PAYMENT SCHEDULE FOR THE LEASE TERM. YEAR 1: THE MONTHLY PAYMENT SHALL BE $ _________________ YEAR 2: THE MONTHLY PAYMENT SHALL BE $ _________________ 3. LATE FEES. If full payment, including late fees or payments due from a previous month, is not postmarked by the 5th of the month, a late penalty charge of five percent (5%) per month of the unpaid balance shall be due. If payment is not postmarked by the 8th of the month, an additional charge of five percent (5%) of the unpaid balance shall be due. Landlord shall have the right to file for eviction anytime after the fifth of the month. Resident shall pay the sum of $25.00 for each bad check, plus late fees, if applicable. All checks will be sent back to be replaced by a money order. The foregoing late fees and charges shall not be construed as a waiver by Owner of its right to declare a default under this Agreement and to exercise all legal and equitable remedies available to Owner upon such default as described in this Agreement. THERE SHALL BE A FEE OF $100.00 FOR EACH EVICTION FILED 4. USE AND OCCUPANCY. The Leased Premises shall be used by Resident only for the purpose of a personal residence, and for no other purpose. Only the undersigned Resident and no other persons, other than the following members of Resident’s immediate family shall at any time occupy the Leased Premises: ______________________________. Should Resident cause or allow any other person(s) to occupy the Leased Premises for more than ten (10) days, Owner shall, at its sole option, have the right to charge Resident additional rent equal to $400.00 per month for each such additional person and/or to declare a default under the Lease Agreement. Resident shall keep the Leased Premises in a clean and orderly condition. Resident shall not use the Leased Premises or maintain it in any manner constituting a violation of any ordinance, statute, municipal code, regulation, including, without limitation, zoning ordinances, nor shall Resident maintain, permit or suffer any nuisance to occur or exist on the Leased Premises. Resident shall not affix to or upon the exterior of the Leased Premises any sign, insignia, or decoration without the express prior written consent of Owner. 5. SECURITY DEPOSIT. Resident has paid $ -00.00- as a Security Deposit AND HAS NO DEPOSIT COMING AS A REFUND WHEN VACATING THE HOME. Upon vacating Resident shall be charged for the following: A. Any rental payment or portion thereof required by the terms of this Lease that are not paid. B. Any unpaid charges and insufficient charges as discussed above or later in this Agreement. C. Any costs incurred by the Owner caused by the enforcement of, or Resident’s breach of, any terms or provisions of this Lease, including court costs and attorney’s fees. D. Cost of any repairs or replacements, redecorating and/or refurbishing of the premises, or any fixture, system or appliance caused by other than ordinary wear and tear. A reasonable cleaning expense provided that Resident does not leave the Leased Premises in clean and rentable condition at the time Resident vacates the Leased Premises. F. A reasonable expense for having to remove debris, trash and rubbish from in or around the Leased Premises which Resident leaves when vacating the Leased Premises. G. The cost of replacing keys which have not been returned and/or cost of a locksmith; and H. The cost of excessive usage of utilities paid by Owner. $25.00 for each smoke detector not left with home. ***One months payment shall be due since payments are collected in arrears and Tenant received 1st month with no payment. 6. UTILITIES. RESIDENT WILL PAY FOR ALL UTILITIES which are, or shall become, necessary for occupancy of the Leased Premises and also including sewer charges, trash pick-up and association fees or dues. All utilities must be placed in Tenant’s name within 48 hours of possession of property. It will be Resident’s responsibility to exercise care in the use of the utilities and Resident will be charged as additional rent hereunder for any EXCESSIVE use of utilities at the Leased Premises paid for by Owner. There shall be a $25.00 fee for each unpaid sewer bill notice sent to the company. PORTABLE SPACE HEATERS ARE PRO-HIBITED.

7. PETS. If there is any pet damage on the property, it shall be the responsibility of the resident to correct any repairs needed (I.E., CARPET CLEANED, YARD CLEANED AND SEEDED). If repairs are not completed upon move-out, resident understands and agrees that the appropriate amount shall be charged to make those repairs. 8. APPLIANCES. Appliances, including but not limited to ranges, refrigerators, portable heaters, window air conditioners and evaporative coolers are not included in the monthly rent. Maintenance of these units are the Resident’s responsibility, and Resident must keep them in good repair. Resident will have no ownership interest in any provided appliances and does not have the right to remove these provided appliances from the Leased Premises for any reason whatsoever. Violations of this provision will result in criminal prosecution and civil claims for penalties, fines and costs, including attorney’s fees, in addition to any and all other legal and equitable remedies of Owner. Any appliance that is with the home at the time it is leased shall not be warranted. The following appliances may have been supplied by the courtesy of Owner: ____________________________________________ 9. ALTERATIONS. Resident may paint and decorate the Leased Premises in any way that does not create an eyesore to others. No additional locks will be installed on any door without the written permission of Owner. Tenant has received new locks upon move-in. (initial)__________. If locks are changed there shall be a fine of $100.00 10. MAINTENANCE. During your residency, this property will be YOUR HOME and should be treated as such. Resident will be responsible for hiring QUALIFIED service people to take care of all minor maintenance under $5,000.00, and to repair any damage caused by Resident or Resident’s guests or invitees regardless of cost. Evidence of poor quality maintenance or use of unqualified service people is a violation of this Lease. Resident will also water and maintain the yard and landscaping at the Leased Premises and keep the yard, parking areas and garbage areas clean and uncluttered. Owner will not honor any charges, or deductions from lease payment not specifically authorized in advance in writing by him or his agent. IF THE BOARD OF HEALTH IS CALLED BY RESIDENT INSTEAD OF RESIDENT DOING REPAIRS, IT SHALL BE DEEMED A DEFAULT UNDER THIS LEASE. This home is leased as is. 11. PEST CONTROL. Resident is responsible for keeping the Leased Premises free of pests and paying for pest control services, if such services are desired. Owner is not responsible for any damage done to the property by such pests, or to any other person or their property on the Leased Premises. 12. CONDITION. This residence is rented in “AS-IS” condition, with the understanding that no additional improvements will be made at the time of the move-in, based on the present rental rate. RESIDENT AGREES TO PERIODICALLY TEST AND MAINTAIN THE SMOKE DETECTORS THEY HAVE BEEN GIVEN. 13. VEHICLE POLICY. The Resident shall park only functional vehicles on the Premises and park only on the paved areas provided. Junk cars, cars on blocks, non-functional vehicles, or unlicensed automobiles are not permitted on the Leased Premises. Removal will be at the expense of the Resident. Resident agrees that any vehicle parked on unpaved areas may be towed and stored at Resident’s expense. Vehicles may not be repaired on the premises unless in an enclosed garage, if such repairs will take longer than one day. 14. ACCESS TO PREMISES. The Owner reserves the right to enter the Leased Premises at reasonable times to inspect, make necessary repairs, supply services or show it to prospective residents, purchasers, mortgagees, workmen, or contractors. Whenever practicable, a 2-day notice of the Owner’s intent to enter shall be given to the Resident. The Owner may also display “For Rent” and “For Sale” signs on or about the Leased Premises. 15. QUIET ENJOYMENT. Resident shall be entitled to the quiet enjoyment of the Leased Premises during the term of this Agreement. Resident shall be responsible, at all times, for the conduct of Resident’s guests, licensees, and invitees while they are on the premises. If Owner receives any reasonable complaints concerning the conduct, noise or disturbance of the peace of Resident or Resident’s guests, licensees or invitees, such complaint shall constitute a default under this Lease Agreement. 16. SURRENDER AND HOLDOVER. Upon the expiration of the Lease, Resident shall surrender to Owner the Leased Premises, together with all other property affixed to the Leased Premises. Said surrendered Leased Premises shall be broom clean, the effects of ordinary wear and tear excepted. Unless an event of default as hereinafter defined has occurred and remains uncured, Resident shall prior to the expiration of the lease term remove all of Resident's personal property from the Leased Premises. Any damage to the Leased Premises caused by such removal shall be repaired by Resident prior to the expiration of the term. At Owner's option, if Resident fails to remove such personal property then the same shall be deemed to be abandoned by the Resident and shall, at Owner’s option, become the property of the Owner. If the property is abandoned, Owner has the right to terminate this lease and regain lawful possession. 17. ASSIGNMENT AND SUBLETTING. Resident shall not assign, mortgage, encumber, or transfer this Lease, in whole or in part, or sublet the premises or any part thereof, nor grant a license or concession in connection therewith without the prior written consent of the Owner. 18. WAIVER OF DAMAGES. Resident hereby expressly releases Owner from any and all liability for loss or damage to Resident, or to any property of Resident caused by water leakage, breaking of pipes, theft, vandalism, natural disaster, or any other cause beyond the reasonable control of Owner.

19. HOLD HARMLESS CLAUSE. Resident shall indemnify and hold Owner harmless and free from any and all liability, claims, loss, damage, or expense, including attorneys fees and costs, arising by reason of the death, injury, or property damage sustained by any person, including Resident or any quest, invitee, licensee or agent of Resident, where such death, injury or property damage is caused or allegedly caused by any negligent or intentional act of Resident or any guest, licensee, or invitee of Resident, or by Resident's failure to perform any covenant, term, condition or act required by this Agreement. 20. INSURANCE. Owner shall, at its own expense, sufficiently insure the premises against loss or damage by hazard, fire, lightening, such other perils as are now or hereafter may be comprehended within the term "Extended Coverage" and vandalism and malicious mischief. It shall be the duty of Resident to insure in its name all of resident’s possessions, improvements and betterments as shall be maintained or installed at Resident's expense which remain property of Resident. It is highly recommended that the Resident have his/her own Renters Insurance. 21. DESTRUCTION OR SEVERE DAMAGE. If the Leased Premises should be damaged or destroyed by fire or other cause to such an extent that the cost of repair and restoration would exceed ten percent (10%) of the amount it would cost to replace the Leased Premises in their entirety at the time such damage or destruction took place, then Owner shall have the right to cancel this lease by giving Resident notice of such election within ten (10) days of such occurrence of said damage or destruction and this lease shall terminate as of five (5) days after the date such notice is given. If Owner fails to exercise this option, or if the damage or destruction to the property is determined to be in an amount less than ten percent (10%) of the amount it would cost to replace the Leased Premises in their entirety at the time such damage or destruction took place, then the lease shall not terminate and the Owner shall, at his expense, promptly repair and restore the Leased Premises to substantially the same condition they were prior to the damage or destruction. 22. CONDEMNATION. If the Leased Premises becomes uninhabitable because of damage or ill repair from Tenant, then this lease shall terminate. All compensation paid in connection with the condemnation shall belong to and be the sole property of the Owner. 23. MECHANICS LIENS. Resident shall not permit any Statement of Intention to hold a Mechanic's Lien to be filed against the Leased Premises or any part thereof nor against any interest or estate therein by reason of labor, services or materials claimed to have been performed of, furnished to or for the Resident. If such Statement of Intent to hold a Mechanic's Lien shall be filed Resident shall secure the release of said Mechanic's Lien upon notice of said Lien being presented to Resident by Owner and shall indemnify Owner for his costs, together with attorney's fees, in securing the release of said Lien. 24. OWNERS'S LIEN. To secure the payment of rent and other liabilities of Resident hereunder, Resident hereby grants to Owner a security interest in all of Resident's personal property which is now or hereinafter located in the Leased Premises and in proceeds thereof, including tort claims and insurance (hereinafter called the "Collateral"). In the event of default, Owner shall have all the remedies of a Secured Party as permitted under Indiana law. 25. ATTORNEYS' FEES. Owner shall be entitled to recover costs and reasonable attorneys' fees in any action or proceeding to secure any rights under this Agreement to enforce any remedies available hereunder or at law. 26. SOLE AGREEMENT OF THE PARTIES. This Agreement constitutes the sole and complete agreement of the parties concerning the lease of the Leased Premises, and correctly sets forth the rights and obligations of the parties hereto. Any agreement or representation between the parties hereto respecting the subject matter of this agreement, whether oral or written, which is not expressly set forth in this instrument is null, void and of no legal effect; provided, however, that Owner and Resident may have entered into a separate Option Agreement under which Resident may have been given an option to purchase the Leased Premises, in which case the terms of such Option Agreement shall not be affected by this Lease, except to the extent indicated in such Option Agreement, and except that a default under such Option Agreement shall constitute and be deemed an event of default under this Lease Agreement. 27. EVENTS OF DEFAULT. Any of the following shall be deemed an Event of Default: A. Resident’s failure to pay an installment of rent when the same becomes due; B. Resident's failure to perform or observe any other covenant, term or condition of this lease to be performed or observed by Resident and if curable, the failure continues for three (3) days after notice thereof is given to Resident; C. Resident’s abandonment of the Leased Premises; D. The filing or execution or occurrence of: 1. An involuntary petition of bankruptcy against Resident and the failure of Resident, in good faith, to promptly commence and diligently pursue action to dismiss the petition; 2. A petition against Resident seeking reorganization, arrangement, composition, readjustment, liquidation, dissolution or other relief of the same or different kind under any provision of the Bankruptcy Act, and the failure of Resident, in good faith, to promptly commence an action to dismiss the petition; 3. A general assignment for the benefit of creditors; 4. The taking by any party of the leasehold created hereby or any part thereof, upon foreclosure, levy, execution, attachment, or other process of law or equity. E. Resident’s default under any other Agreement between Owner and Resident concerning the Leased Premises, including any Option to Purchase Agreement between Owner and Resident. For purposes of this section, the term Resident shall include any assignee, sublessee, or guarantor of Resident. This provision shall not be construed to permit the assignment of the lease or the subletting of the Leased Premises, except as may be permitted hereby.

28. OWNER'S REMEDIES FOR BREACH. In the event the Resident commits an event of default of the Lease, Owner may, in addition to all other legal or equitable remedies that may be available to Owner: A. Continue this Agreement by not terminating Resident's right to possession of the Leased Premises, and continue to enforce all of Owner's rights and remedies under the terms hereof, including the right to recover the rent specified herein as it becomes due, or; B. Terminate this Agreement and Resident's right to possession of the Leased Premises immediately, and commence an action against Resident to recover possession of the Leased Premises and for such damage as may be available at law, including unpaid rent through the remainder of the lease term. 29. MODIFICATION. This Agreement may be modified only by a written agreement signed by both the Owner and Resident, and any attempted oral modification to this Agreement, whether real or purported, shall be of no force or effect. 30. SEVERABILITY. In the event that any part of this Agreement is construed or declared unenforceable, the remainder shall continue in full force and effect as though the unenforceable portion or portions were not included herein. 31. NOTICES. All notices and/or communication required or permitted under this Agreement shall be deemed duly served and given when personally delivered to the party to whom directed or in lieu of such personal service, when mailed, first class postage prepaid. 32. VIOLATION OF TERMS. Both Lessee and Lessor agree to waive trail by jury and submit to the decision of the judge who has juristriction over this subject matter. In any event, no action will be filed in any court after one year of the cause for such action. 33.CONTROLLING LAW. This Lease shall be construed in accordance with the laws of the State of __________________. IN WITNESS WHEREOF, Owner and Resident have executed this Lease Agreement as of the date and year first above written. By: _______________________________________ Owners Printed: ___________________________________ Owners

__________________________________________ Resident __________________________________________ Resident

Sign up to vote on this title
UsefulNot useful